In a recent post on X (formerly Twitter), cryptocurrency data tracking platform Santiment reported an increase in the number of USDT stablecoin transfers to crypto exchanges.
According to the post, there is now 6.9% more USDT on exchanges compared to data seen six months ago. Santiment described this trend as a great sign for bulls, which could bring in new buying power to counter the recent market pullback. Per the report, 25.8% of the total supply of USDT is now held on cryptocurrency exchanges.
USDT, USDC, BTC, ETH Supply on Exchanges | Source: Santiment
At the same time, the platform also reported a slight movement of Bitcoin to exchanges as market uncertainty looms. Currently, 5.5% of all Bitcoins are on exchanges. By contrast, 8.1% of the total supply of Ether is held on crypto exchanges.
Meanwhile, Santiment’s report follows an unexpected slump in Bitcoin’s price yesterday. The sharp drop was precipitated by a surge in long position liquidations of traders betting on the sustained upward movement of the digital asset.
It bears mentioning that the general bullish sentiment in the market is largely driven by hopes of the U.S. Securities and Exchange Commission approving a spot Bitcoin ETF. Analysts predict an approval could come as early as January, a move that many believe would drive liquidity to Bitcoin and the crypto market as a whole.
At present, Bitcoin has made a slight recovery following yesterday’s liquidation event, according to CoinMarketCap data. The world’s largest digital asset by market cap is currently trading at $41,808, significantly below the $44K levels it peaked at last Friday.
Additionally, Bitcoin’s market cap and trade volume stand at $818 billion and $31 billion, respectively. On the broader crypto market, the market cap has declined by 0.09% in the past 24 hours.
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